Average mortgage loan at near record level in July
The average mortgage loan in Israel reached NIS 1.117 million in July, near the all-time record of NIS 1.129 million set in March 2026. Total new loans for the month were NIS 11.563 billion. Despite a slowdown in the housing market, mortgage taking has not declined, and 2026 is on track for one of the highest annual totals.
The average mortgage loan in Israel rose to NIS 1.117 million in July, approaching the all-time record of NIS 1.129 million set in March 2026. Total new mortgage loans for the month reached NIS 11.563 billion. Despite a prolonged slowdown in the housing market, the rate of mortgage taking has not fallen, and 2026 is on track for one of the highest annual totals on record. The average home price in Q2 2026 was NIS 2.435 million, up 3.7% from Q1 and 7.9% year-over-year, which helps explain the high mortgage averages. Luxury homes continue to drive the market: mortgages on properties worth NIS 5 million or more accounted for NIS 1.67 billion (14.5% of the total), and 43% of new mortgages were on properties worth NIS 3 million or more. Bullet and balloon loans, often used in contractor financing deals, totaled NIS 1.609 billion in July, though their share of total mortgages fell slightly to 14% from 14.7% in June. The data suggests that while transaction volumes may be slowing, the value of individual loans remains elevated, driven by high home prices and a concentration of luxury purchases.